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The overall managerial structure of the company inhibited communication and cross training for its managers. The lack of communication between functional specialties keeps cooperation down and thus can lead to poor performance. The inability to be cross trained in multiple functional areas restricts their ability for promotion. The store managers did not have control of their entire stores, and lacked training and development for higher level management positions.
Store Managers had no authority over Produce and Meat Department managers. Separate departments were unable to work together for the good of the entire store. This led to centralized decision making up several vertical linkages.
To make changes at the store level, information had to be passed by the meat, produce, and grocery managers up three to four vertical linkages before a centralized decision could be made at the district director level.
Also, stores lacked the ability to add more specialized departments like pharmacies or gourmet departments.
Each store lacked a centralized decision maker for the local store. Multiple managers oversaw multiple functional areas without reporting to a primary source. This created conflicted decision making without consultation in regards to the overall strategy of that store.
With the proposed restructure the store manager would have complete store control and better training from the district supervisor.
It also allowed for better adaptation to local conditions. Meat and Produce departments now would report to a local store manager that can make decisions for the entire store. The new structure provides more flexibility with decision making and allowing for expansion into other specialty areas.
The new structure is more horizontal than vertical and may lead to decreases in efficiency due to less emphasis on specialized tasks and reporting to centralized decision makers.
The original structure was more vertical and lacked shared tasks, horizontal communication, and centralized decision making at the store level. The new structure is more horizontal in layout and is streamlined for individual learning and development as well as shared empowerment. The advantages of the second structure should outweigh the disadvantages of the original and give greater flexibility to local stores to adapt to their community.
C&C Grocery Stores, Inc. (2016, Dec 16). Retrieved from https://studymoose.com/cc-grocery-stores-inc-essay
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